Bob Gibbs, Oak Wealth Planning

Bob Gibbs | Oak Wealth Planning

Independent Financial Planner, Milton Keynes

call me on

07742 019661

How Did Budget 2018 Affect Your Pension?

Or will Brexit be the game changer?

Click here to view a mobile version of this blog post  

POSTED BY BOB GIBBS ON 08/11/2018 @ 8:00AM

So, the budget came and went without too much fuss. Lots of talk of ending austerity and increased spending on public services, but very little about your pension ...

If you're wondering what affect Budget 2018 had on your pension then do get in touch!

If you're wondering what affect Budget 2018 had on your pension then do get in touch!

copyright: andreypopov / 123rf

A surprise in that the personal allowance (the rate your start paying basic income tax) is now £12,500 in April 2019 and the higher rate taxpayers will need to earn over £50,000 from the same month.

"So, was it really a giveaway budget?"

Sometimes you need to look at what the budget didn't say rather than what it did. Again pensions were not in the headlines or even the small print.

It has been said in many quarters that the pension tax relief system either needs an overhaul or is overdue one. Indeed, ever since pension simplification in 2006, it seems there has been constant change to pensions, but not of late.

Brexit could very likely be the big distraction stopping pension reform. This devisive political hot potato is far from settled, so we have still more respite from more pension 'simplification'.

A good time then to remind us all of the benefits of pensions:

  • Anyone can have a pension, even non-taxpayers (£3,600 gross per annum max), in fact, a parent could set up a pension for a 1-day old baby if they wanted to

  • Pensions are very tax efficient at least until age 75

  • If you are a basic rate taxpayer every £100 you pay in only costs £80

  • If you are a high rate tax payer every £100 you pay in costs you £60 (you claim half at source and half through self-assessment)

  • Only £55 (per £100) for additional rate taxpayers

  • From 55 (moving next decade to 57) you can take 25% back out tax-free

How much longer will government generosity on tax relief with pensions continue?

If you'd like to find out more about pensions, or are interested in discovering if your money is working efficiently for you, then do give me a call on 07742 019661 or click here to ping me an email and let's see how I can help you.

Until next time ...



If you're thinking of reviewing your pensions, savings and investments then do visit and let's see how I can help you with your wealth planning!

More about Bob Gibbs ...


I am a whole of market Independent Financial Planner. What I do for people is to organise money so that people either make money or save money with the end result becoming more wealthy.

I achieve this through mortgages, insurances, savings, investments and especially Pensions, a subject I am especially passionate about. I am shocked by how little people know about such an important subject that has such a huge impact on their lives.

My mission is to understand where people are at on their retirement plan, then get them on the correct road to working less and enjoying more of life when they want! I use cashflow planning software to make this more visual and real.


07375 040011